Allergan announces takeover of Topokine Therapeutics

Allergan has announced the acquisition of Topokine Therapeutics in a deal worth an initial $85 million (58.9 million pounds).

The clinical-stage biotechnology company is focused on the creation of topical medicines for fat reduction, including its first-in-class topical agent XAF5, which is in late-stage development for the treatment of steatoblepharon – also known as undereye bags.

Allergan will pay development and sales milestone fees based on the future success of XAF5, which showed statistically significant and clinically meaningful reductions in undereye bags in a phase II trial.

It is thought that the drug holds the potential to be the first topical fat reduction product for the treatment of a condition with no current therapeutic options available for patients.

David Nicholson, executive vice-president and president for global brands research and development at Allergan, said: "We look forward to continuing the outstanding development work conducted by the Topokine team to bring this innovative medical aesthetic treatment to market."

Allergan is currently regrouping and refocusing following the recent termination of its planned merger with Pfizer, which was scrapped earlier this month following changes to US tax laws.